CABINET TO ALLOW BELIZEANS TO ENTER FREE ZONE

October 26, 2007

The Belize Chamber of Commerce and Industry has commented on a recent cabinet decision to allow Belizeans to enter the Free Zone to shop on November 17^th and December 15^th.  A release from the chamber says that they see cabinet’s decision as an acknowledgement that the punitive tax regime is the main cause of high prices within the Belize Customs Territory. Love News spoke to Kay Menzies of the Belize Chamber of Commerce and Industry. 

Kay Menzies of the Belize Chamber of Commerce and Industry:

“For us it’s kind of an affirmation that we’ve been laboring under high taxes and duties for a while and apparently, government has agreed that the duties and the taxes are too high for the consumers to bare so we take that as an affirmation so that business owners here have long felt. We’re basically challenging the government and saying look, if you’re agreeing that the consumers need a break on taxes and duties, why don’t you provide it to the Belize Customs territory and start to lower the taxes that we pay so that we can pass that on to the consumers and guess what, the consumers won’t have to drive all the way across the border or up to the zone to save a dollar, they can save it at home and provide more employment and such for local businesses.” 

Menzies says that the chamber does not see Government’s recent announcement as a serious attempt to address the issue of high pricing. 

Kay Menzies of the Belize Chamber of Commerce and Industry:

“The point that we’re making there is that the Free Zone businesses have a tremendous advantage over the local businesses. The Free Zone businesses are not paying any taxes. They get duty free vehicles, many duty free privileges, their goods don’t subject to tax except for very minimal taxes for social reasons. Whereas, at this end, we are bearing all the taxes that the government survives on like import duties, excise duties, GST, taxes that we pay on all our deliveries and we are the ones that provide donations to the community that needs its support and so the cost of doing business at this end is tremendous. We would wish for the government to provide a break on those taxes, so that we can provide employment and lower our taxes and do more business, which in the end, benefits everybody. I think that since the government has opened this door, they would be willing to sit with the Chamber and let’s work a way of how we can ease the burden of the consumers through the taxation that they’re currently subjected to. Hopefully, we can make things a little bit better for 2008 because it’s been a slow year for all of us. It’s upsetting for us to have to build Chetumal with the consumers having to drive to go all that way to save a dollar or two. Let’s save our money at home.”

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